Canadian Stocks Moved to New Record Highs

Index Update:  The S&P/TSX Composite Index climbed well off its early lows and firmly into positive territory before closing up 193.88 points or 0.6 percent to 33,970.38. The index more than offset the modest decrease seen during Monday's session, reaching a new record closing high.

Macro Update:  In U.S. economic news, a report released by the Conference Board showed an improvement in U.S. consumer confidence in the month of February. The Conference Board said its consumer confidence index rose to 91.2 in February from an upwardly revised 89.0 in January. Economists had expected the index to jump to 88.0 from the 84.5 originally reported for the previous month.

Top Movers:  Thomson Reuters surged 11.4% after partnering with Anthropic on AI tools. This helped technology and industrials rise 0.8% and 0.9%, respectively. Conversely, the financial sector faced pressure despite strong earnings. Scotiabank reported a jump in Q1 net income to $2.30 billion, yet shares fell 0.7% as traders weighed credit risks. Energy was mixed despite Whitecap Resources beating estimates, while gold miners like Agnico Eagle (1.5%) found late support.

Our Stance:  The 14-period RSI is positioned at 63.80, indicating firm buying momentum while remaining below overbought territory, leaving scope for additional upside. Immediate support is located near the 33,900 level, a key zone underpinning the bullish structure. Holding above this threshold would maintain positive sentiment, whereas a decisive break could trigger a corrective pullback toward the 33,600–33,400 range.

Commodity Update:  The Japanese yen hovered near a two-week low after reports that Prime Minister Sanae Takaichi expressed reservations to the central bank governor regarding additional rate hikes. Meanwhile, strength in the Chinese yuan added pressure on the U.S. dollar. Gold rose 0.49% to USD 5,201.70, silver gained 2.44% to USD 89.63, and copper advanced 0.39% to USD 13,281.90. Brent crude climbed 0.64% to USD 71.22 amid persistent U.S.–Iran supply concerns.

Technical Update:

On Tuesday, the S&P/TSX Composite Index advanced 193.88 points, or 0.57%, to close at 33,970.38, with steady trading volumes reflecting sustained investor engagement. From a technical standpoint, the index continues to trade comfortably above its 50-period Simple Moving Average, reinforcing the integrity of the prevailing short-term uptrend. The 14-period RSI is positioned at 63.80, indicating firm buying momentum while remaining below overbought territory, leaving scope for additional upside. Immediate support is located near the 33,900 level, a key zone underpinning the bullish structure. Holding above this threshold would maintain positive sentiment, whereas a decisive break could trigger a corrective pullback toward the 33,600–33,400 range.